Regulation

Pegasus in dealing with its clients in the UK, Jersey or Spain operates within a highly regulated environment which is in the interests of its clients to ensure the highest professional standards are maintained and as such has systems in place to ensure compliance with regulatory requirements.

In regard to all the Company’s activities its regulators are:

It is the JFSC that is responsible for the supervision of Pegasus’s activities in Spain. However it is the aim of Pegasus to apply the rules and standards of both regulators to ensure the highest standards are always met in undertaking what it does.Both regulators were established by the governments of Jersey and the UK with the aim of increasing investor protection and industry standards. These aims have been achieved and the regulatory authorities are backed by a legal framework to ensure that they have the powers to censure and close regulated businesses that do not meet their exacting standards.  The rules and codes of practice require the maintenance of detailed information of clients and their affairs together with systems that ensure that all clients are given good and appropriate advice based upon their circumstances. 

Jersey

Political stability combined with a low tax status has proven attractive to potential investors. Jersey has been self-governed by its own parliament for over 900 years and although one of the British Isles, it does not form part of the United Kingdom.The island's constitutional relationship with the United Kingdom has been confirmed by royal charters, which over the centuries have secured the independence of the islands judicial system from the English courts and granted important privileges, including freedom from United Kingdom taxes. Further, Jersey is not a member state or an associate member of the European Union or the European Economic Area. The island enjoys a special relationship with the EU as defined by a protocol in the UK's Treaty of Accession signed in 1973. As a result the country complies with the EU directives on trade in industrial and agricultural products, but is not bound by directives or regulations in other areas such as European Monetary Union, taxation or financial services. 

For example – the Markets in Financial Instruments Directive that came into effect on 1 November 2007 (MiFID) that replaces the Investment Services Directive (ISD) does not apply in the Channel Islands, even though they are Crown dependencies. This means that firms such as Pegasus based in these territories are treated in the same way as firms based in a non-EEA State and do not have passporting rights which only apply within the EEA.

It should be noted for all business written in Jersey the Financial Ombudsman Service and FSCS - Financial Services Compensation Scheme is not available.